Mississippi Gasification

Mississippi Gasification (MG), a subsidiary of Leucadia National Corporation, is developing a syngas plant in Moss Point, Mississippi that will utilize petroleum coke feedstock to produce pipeline gas. Syngas from the project will be sold under long-term (30 year) contracts to utilities in the region. The project will be located on a coastal, brownfield site of approximately 185 acres in the city of Moss Point. MG has executed a feedstock procurement and supply contract and has begun preliminary engineering and design work. Construction is expected to begin in 2011 and commercial operations in 2015.

The project has received loan coverage of $1.689 billion under the U.S. Department of Energy's Energy Policy Act of 2005.

Byproducts created during the syngas process, sulfur and carbon dioxide, will be sold. The sulfur would be used to make sulfuric acid, used by companies such as nearby fertilizer producer Mississippi Phosphates. The plant would generate an estimated 500,000 tons of sulfuric acid a year. Proposed carbon dioxide captured from the project will be sold under a long-term contract for use in existing enhanced oil recovery operations in the area. The plant would sell its carbon dioxide, a projected 4 million tons per year, to Texas-based Denbury Resources, an oil and gas company that uses carbon dioxide for enhanced oil recovery.

Related SourceWatch Articles

 * Mississippi and coal
 * United States and coal
 * Carbon Capture and Storage
 * Existing U.S. Coal Plants
 * US proposed coal plants (both active and cancelled)
 * Coal plants cancelled in 2007
 * Coal plants cancelled in 2008
 * State-by-state guide to information on coal in the United States (or click on the map)